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Wednesday, March 18, 2015

Aboitiz JV signs P10-B bulk water agreement with Davao City entity

DAVAO CITY, Davao
— Apo Agua Infrastructura Inc. (APO Agua), a joint venture company between Aboitiz Equity Ventures (AEV) and J.V. Angeles Construction Corporation (JVACC), has entered into a P10-billion bulk water supply agreement with the Davao City Water District (DCWD).

In a disclosure to the Philippine Stock Exchange, AEV said the agreement involves the construction of the country’s largest private bulk water supply facility to date together with a fully renewable energy powered water treatment plant.

APO Agua will supply up to 300 million liters per day (MLD) of potable bulk water from the Tamugan River to DCWD, which will benefit the more than 1 million people of Davao City.

JVACC will be the engineering, procurement, and construction (EPC) contractor for the entire project.

The company brings with it over 48 years of experience in the construction and development of water-related infrastructure in the Philippines.

“We are excited to be able to provide Davao City with this innovative bulk water supply solution,” said JVACC chairman JV Angeles.

For Aboitiz Equity Ventures, this landmark project is part of its thrust to expand into infrastructure development in addition to its core businesses of power, banking, land and food.

“We have long been partners in Davao’s economy through Davao Light and our other businesses; and through our investment in APO Agua, we will ensure that Davao City has the necessary bulk water infrastructure for it to continue with its impressive economic growth story,” said AEV President Erramon Aboitiz.

APO-Agua has a 70-30 ownership structure, with AEV owning 70 percent of the company, and JVACC the remaining 30 percent.